Flash Coffee raises $3m, targets over 70 stores by 2025

Flash Coffee, a Jakarta-based coffee chain, has raised US$3 million in a funding round led by TA Ventures, with participation from White Star Capital.

The funds will support its expansion across Indonesia. The company aims to operate over 70 stores nationwide by 2025 and enter two new cities.

All existing locations are currently profitable, with revenues per store doubling in the past year.

Flash Coffee reported an average EBITDA of 22% across its stores, while newer locations are achieving 36%.

The funding will also help implement a new store design concept using local materials and greenery.

TA Ventures cited Indonesia’s changing consumer preferences as a key reason for its investment.

🔗 Source: Flash Coffee

🧠 Food for thought

1️⃣ Southeast Asian specialty coffee boom defies regional economic headwinds

Flash Coffee’s funding comes at a pivotal moment in Indonesia’s coffee market evolution, which continues to show resilience despite broader economic challenges.

The Indonesian coffee market is projected to grow at an impressive 10.76% in 2025, accelerating to 12.14% by 2027, primarily driven by rising demand for specialty coffee experiences 1.

This growth persists despite economic pressures including inflation and a shrinking middle class that are influencing consumption patterns across the region 2.

The company’s focus on “sit-and-stay environments” directly responds to documented shifts in consumer preferences, particularly among millennials and Gen Z who increasingly seek quality and authenticity in their coffee experiences 3.

Flash Coffee’s impressive 22% store-level EBITDA (and 36% for new stores) significantly outperforms industry standards, demonstrating that premium positioning can drive profitability even amid forecasted coffee price declines for 2025-2026 4.

Their strategy aligns with the broader trend of specialty coffee shops in Southeast Asia emphasizing local roasting and sourcing while supporting local farmers, a model that has proven successful across the region’s rapidly urbanizing markets 5.